10 September 2021
Dear Mr Kumar,
Learned persons have correctly advised you in the matter. However, I ll consolidate all the above opinions along with some of my own words. (1). Don't be worried about the false police case. It is an attempt to scare you. Even if police calls you to police station, take along your local Advocate so that police do not try any misadventure with you. (2). As you have stated that you have sent legal notice. I hope the notice is as per Negotiable Instruments Act 1881. If not resend in accordance with NI Act, 1881. On expiry of the notice period, initiate Section 138 proceedings. Further, you must know that the law is in your favour. Section 139 of NI Act, 1881 makes a presumption that cheque was issued for discharge of liability. Further, you are also entitled for interim compensation up to maximum 20% of cheque amount under Section 143A NI Act, 1881.
(3) There is another action that you can initiate to make pressure. File a complaint with the police under section 420, 405 IPC saying that 'X' (your friend) had taken money and promised to pay back but never intended to pay. The promise to pay was only to make you pay the amount. I am 100% sure that police will not register FIR. The immediately file Section 156(3) Cr PC Application before the Judicial Magistrate First Class. Take services of a good advocate in Section 156(3). Trust me , it will help you. Remember that the remedy under 138 NI Act and Criminal law are two different remedies and the purpose of both is different.
Shubham Bhardwaj Advocate
District & Session Court, Chandigarh
Punjab & Haryana High Court, at Chandigarh
Disclaimer:- Opinion is only for guidance.